In a decision dated May 19, 2017, the Constitutional Council struck down the rules for determining the corporate value-added contribution (CVAE) rate within tax-integrated groups (Cons. const. May 19, 2017, No. 2017-629 QPC).

Previously, the revenue used to determine the CVAE rate owed by companies that were members of a tax-integrated group was calculated based on the combined revenue of all the entities.

While obtaining refunds for the CVAE for 2015 and 2016 did not pose any difficulties, we believe it is also possible to obtain refunds for the CVAE paid for the years 2011, 2012, 2013, and 2014, even in the absence of any tax assessment.

In fact, we believe that this decision is likely to reopen the deadline for filing a claim. The Council of State is currently considering an advisory opinion. This opinion is expected to be issued on January 9, which is after the deadline for filing a claim, which expires on December 31, 2018.

In order to effectively benefit from the effects of this future decision, it is essential to file a claim with the tax authorities seeking a refund of the CVAE for the years 2011 through 2014. This claim must be filed no later than December 31, 2018.

FareWell’s tax attorneys are available to assist you with this process.